Navigating this Uncharted Territory Together
If your week has been anything like ours, it’s been coronavirus talk. Twenty. Four. Seven. The seemingly sudden rise of this pandemic has affected every area of our lives. Despite the unpredictability of the current times, we’re here to guide you so that your advertising game stays sharp—even as your best-laid plans disintegrate. Without further ado…
Like it or not, large-scale disruption has arrived—will the COVID-19 pandemic be a moment of turbulence or transformation? Brands and agencies alike will need to adapt if they’re going to survive, by allowing their staff to work remotely. Meanwhile, traditional ad channels like television could continue to thrive. Read more.
Instagram has begun partnering with its top video creators to test ad placements. In return, they’re being offered a 55% share of all advertising (the same rate as YouTube). Instagram COO Justin Osofsky admitted, “This is another step forward to help creators monetize with IGTV.” Read more.
There’s a lot of buzz out there about how social platforms intend to help fight the impact of COVID-10. We’ll spare you. Instead here are just a few notable mentions from the world of social:
As social distancing takes effect, reports show that streaming surged 20% worldwide last weekend. Read more.
InMail now offers “Message Ads”—sponsored InMails that include a call-to-action button geared toward driving more clicks. Read more.
YouTube recently rebranded its “Trending” tab as “Explore” on the mobile app. The update promises convenient access to destination pages, greater prominence of the “Creator on the Rise” and “Artist on the Rise” sections, and a breakdown of trends. Read more.
A Note from our VP of Media, Ivan Huang
These are times of tremendous unpredictability, but I’ll do my best to forecast and unpack upcoming shifts in the advertising landscape. The way I see it, there are two facets that will impact ad performance.
Here’s what we can anticipate from each:
During tumultuous times, advertisers may adjust their paid media strategies.
With more users spending time at home on social, inventory may open up.
Meanwhile, the biddable auctions may become more competitive from shifting media mixes. For example, suspended upfront deals, like sports sponsorships, could move significant dollars to programmatic channels such as social and SEM.
User response rates will vary, depending on the industry and/or vertical. For DR advertisers, high-intent users still exist during this time, so leveraging retargeting lists and converting these users is still a recommended strategy.
In short, evolving financial uncertainties will impact user spending habits, but they are still highly dependent on variables such as income bracket, product price points, and the priority of the needs.